Industry Analysis & Industry Trends
Due to traditional Chinese dietary patterns and lower living standards, the routine consumption of dairy products is limited across the country. China is currently the third-largest dairy producer in the world, after India and the United States. However, per capita consumption of dairy products in China is less than one-quarter of the global average and lower than in many other developing countries. Moreover, dairy product consumption varies considerably across China. Consumption in rural regions is less than 10.0% of that in urban areas.
After strong and steady growth for more than a decade, China's dairy industries were severely affected by the melamine scandal of September 2008, when melamine was found in infant formula and other milk products.... purchase to read more
Industry Report - Industry Locations Chapter
The Inner Mongolia Autonomous Region is the largest manufacturing area of liquid milk products in China, accounting for an expected 13.6% of total industry revenue in 2014. Inner Mongolia is famous for its prairies, where cattle farming are well-developed and raw milk supply sources are abundant and stable. Inner Mongolia also has the largest numbers of dairy cows on hand.
The largest production bases of Mengniu and Yili are located in Inner Mongolia. After the 2008 melamine incident, the government strengthened assistance to the dairy sector, and Mengniu and Yili gradually recovered their production capacity. In the second half of 2009, the central finance department gave subsidies of about $17.4 million for milking machinery equipment in Inner Mongolia... purchase to read more